Washington State Rent Cap Set at 10% for 2027

State Sets Rent Cap for 2027 at 10%

Beginning January 1, 2027, rental housing providers across Washington will be required to abide by a maximum annual rent increase percentage of 10%, as set by the state's Department of Commerce under HB 1217. The department announced the figure on Wednesday, July 15. It supersedes the current limit of 9.683%, which remains in effect through December 31, 2026. 

Why this specific number?

HB 1217 allows an increase of up to 7% plus the Consumer Price Index, or 10%, whichever is less. For the 2027 calendar year, Seattle-area inflation pushed the combined figure above the statutory ceiling, so the limit lands at the 10% maximum rather than a CPI-derived number. Commerce calculates the figure from the June 12-month percent change in CPI-U for the Seattle-Tacoma-Bellevue area, and publishes it each year shortly after the Bureau of Labor Statistics releases June data, typically in early to mid-July. 

How long does it apply?

• Through December 31, 2026: rental housing providers may increase rent by up to 9.683%.
• January 1 through December 31, 2027: rent increases are capped at 10%.

Does this change anything for manufactured housing communities?

No. The cap on lot rent in manufactured and mobile home communities is 5%. That figure is fixed in statute under RCW 59.20 and does not adjust with CPI. It remains 5% in 2027. 

What has not changed

• No rent increase may be imposed during the first 12 months of any tenancy.
• Written notice of at least 90 days is required before an increase takes effect.
• Certain properties and situations remain exempt, as defined in RCW 59.18.710.

Where can I find more details?

Commerce publishes its full methodology and calculation values, including the CPI index figures used, at its HB 1217 resource center: Landlord Resource Center

RHAWA will continue to update legal forms, education, and other resources as information on compliance with new laws continues to evolve.